Section 18 Physical Needs Assessment
A Section 18 Physical Needs Assessment (PNA) provides an objective opinion to support the disposition or demolition of a public housing development. The assessment outlines the anticipated capital needs of a development (or portion of a development) and the estimated costs to bring it up to a “safe, decent, and sanitary” condition and maintain it in that condition for the next twenty years. When these estimated costs exceed the HUD thresholds, the development is considered to be functionally obsolete. These reports must follow a strict set of rules set forth by HUD and are scrutinized by the Special Applications Center (SAC) office of HUD.